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Introduction to how Amazon works
●   You can find beauty supplies, clothing, jewelry, gourmet
    food, sporting goods, pet supplies, books, CDs, DVDs,
    computers, furniture, toys, garden supplies, bedding and
    almost anything else you might want to buy. What makes Amazon
    a giant is in the details. Besides its tremendous product
    range, Amazon makes every possible attempt to customize the
    buyer experience.
●   The embedded marketing techniques that Amazon employs to
    personalize your experience are probably the best example of
    the company's overall approach to sales: Know your customer
    very, very well. Customer tracking is an Amazon stronghold.
●   The other main feature that puts Amazon.com on another level
    is the multi-leveled e-commerce strategy it employs.
    Amazon.com lets almost anyone sell almost anything using its
    platform.
Amazon Technology
●   The massive technology core that keeps
    Amazon running is entirely Linux-
    based.
●   Amazon's sales volume means that
    hundreds of thousands of people send
    their credit card numbers to Amazon's
    servers every day, and security is a
    major concern.
●   Amazon employs the Netscape Secure
    Commerce Server using the SSL
    protocol.
Amazon E-commerce
●   Amazon.com has always sold goods out of its own
    warehouses.Both retailers and individual sellers utilize the
    Amazon.com platform to sell goods. Large retailers like
    Nordstrom, Land's End and Target use Amazon.com to sell their
    products in addition to selling them through their own Web
    sites. The sales go through Amazon.com and end up at
    Nordstrom.com, Land's End.com or Target.com for processing
    and order fulfillment. Amazon essentially leases space to
    these retailers, who use Amazon.com as a supplemental outlet
    for their online sales.
●   Small sellers of used and new goods go to Amazon Marketplace,
    Amazon zShops or Amazon Auctions. At Marketplace, sellers
    offer goods at a fixed price, and at Auctions they sell their
    stuff to the highest bidder.
●   The level of integration that occurs on Amazon is a
    programming feat that few (if any) online sales sites can
    match.
Amazon E-commerce
●   Another sales channel called Amazon Advantage is a place
    where people can sell new books, music and movies directly
    from the Amazon warehouse instead of from their home or
    store. Sellers ship a number of units to Amazon, and Amazon
    handles the entire sales transaction from start to finish.
●   One of the latest additions to Amazon's repertoire is a
    subsidiary company called Amazon Services. Through Amazon
    Services, Amazon sells its sales platform, providing complete
    Amazon e-commerce packages to companies looking to establish
    or revamp their e-commerce business.
Amazon Tools, Marketing and Community
●   The goal is pretty straightforward: "To be
    Earth's most customer-centric company where
    people can find and discover anything they want
    to buy online."
●   Amazon recommends products that are:
     – similar to what you're currently searching for
       (on-the-fly recommendations that use up tons
       of processing power)
     – related to what you've searched for or clicked
       on at any time in the past
     – purchased by other people who've searched for
       what you're searching for or have bought what
       you've bought
Amazon Tools, Marketing and Community
●   Amazon's gift-giving recommendations collect
    data on the stuff you buy for other people.
●   there's a community on Amazon.com that's
    based on people providing even more
    information about themselves to other Amazon
    users.
●   Amazon Services is building complete e-
    commerce solutions for companies that are
    potential Amazon competitors, leaving open
    the possibility that Amazon will ultimately
    head in the direction of technology service
    over retail sales.

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SW2 week13-slide

  • 1. Introduction to how Amazon works ● You can find beauty supplies, clothing, jewelry, gourmet food, sporting goods, pet supplies, books, CDs, DVDs, computers, furniture, toys, garden supplies, bedding and almost anything else you might want to buy. What makes Amazon a giant is in the details. Besides its tremendous product range, Amazon makes every possible attempt to customize the buyer experience. ● The embedded marketing techniques that Amazon employs to personalize your experience are probably the best example of the company's overall approach to sales: Know your customer very, very well. Customer tracking is an Amazon stronghold. ● The other main feature that puts Amazon.com on another level is the multi-leveled e-commerce strategy it employs. Amazon.com lets almost anyone sell almost anything using its platform.
  • 2. Amazon Technology ● The massive technology core that keeps Amazon running is entirely Linux- based. ● Amazon's sales volume means that hundreds of thousands of people send their credit card numbers to Amazon's servers every day, and security is a major concern. ● Amazon employs the Netscape Secure Commerce Server using the SSL protocol.
  • 3. Amazon E-commerce ● Amazon.com has always sold goods out of its own warehouses.Both retailers and individual sellers utilize the Amazon.com platform to sell goods. Large retailers like Nordstrom, Land's End and Target use Amazon.com to sell their products in addition to selling them through their own Web sites. The sales go through Amazon.com and end up at Nordstrom.com, Land's End.com or Target.com for processing and order fulfillment. Amazon essentially leases space to these retailers, who use Amazon.com as a supplemental outlet for their online sales. ● Small sellers of used and new goods go to Amazon Marketplace, Amazon zShops or Amazon Auctions. At Marketplace, sellers offer goods at a fixed price, and at Auctions they sell their stuff to the highest bidder. ● The level of integration that occurs on Amazon is a programming feat that few (if any) online sales sites can match.
  • 4. Amazon E-commerce ● Another sales channel called Amazon Advantage is a place where people can sell new books, music and movies directly from the Amazon warehouse instead of from their home or store. Sellers ship a number of units to Amazon, and Amazon handles the entire sales transaction from start to finish. ● One of the latest additions to Amazon's repertoire is a subsidiary company called Amazon Services. Through Amazon Services, Amazon sells its sales platform, providing complete Amazon e-commerce packages to companies looking to establish or revamp their e-commerce business.
  • 5. Amazon Tools, Marketing and Community ● The goal is pretty straightforward: "To be Earth's most customer-centric company where people can find and discover anything they want to buy online." ● Amazon recommends products that are: – similar to what you're currently searching for (on-the-fly recommendations that use up tons of processing power) – related to what you've searched for or clicked on at any time in the past – purchased by other people who've searched for what you're searching for or have bought what you've bought
  • 6. Amazon Tools, Marketing and Community ● Amazon's gift-giving recommendations collect data on the stuff you buy for other people. ● there's a community on Amazon.com that's based on people providing even more information about themselves to other Amazon users. ● Amazon Services is building complete e- commerce solutions for companies that are potential Amazon competitors, leaving open the possibility that Amazon will ultimately head in the direction of technology service over retail sales.